Has the Crypto Bull Market Finally Begun?

Market Overview

The cryptocurrency market continues to rally, gaining nearly 7% over the past 24 hours to reach $2.51T. Having risen by 18% since the start of the week, the market has demonstrated a dramatic shift in investor sentiment. Since hitting a low of $2.04T in early July, market capitalisation has risen by 24%, marking the formal start of the bull market. However, a negative correlation with the Nasdaq-100 persists, where sellers remain in control despite attempts by the US Treasury Secretary to reassure investors.

The sentiment index soared to 72, just 3 points below the ‘extreme greed’ level. The index was last above this level on 5 October, when it stood at 74, and it has not sustained such levels for over a year. This provides further confirmation that the market has entered a bullish phase.

Bitcoin soared to $75.5K at the start of active trading in Europe, which is a high not seen since late May and almost a mirror image of the rate of decline in the first few days of June, when losses over five days approached 20%. Since the start of this week, the rise has already exceeded this figure. The situation appears to be an organised closing out of short positions, as we are not seeing intraday swings of 20–30%, as was the case in February, suggesting that capitulation is still to come. Technically, the nearest significant resistance zone for Bitcoin lies around $82K–$87K, between May’s peak and the December–February support zone.

News Background

Inflows into US spot Bitcoin ETFs on 19 August exceeded $517 million, marking the highest level since early May. Inflows into US spot Ethereum ETFs recorded their best result since mid-October last year.

According to CoinDesk, the volume of short liquidations on 19 August exceeded the record set on 10 October 2025. At that time, during a flash crash, the figure reached approximately $19 billion, but back then, it was the liquidation of long positions.

US President Donald Trump, at a meeting with representatives of the crypto industry, called on Congress to pass a “fair version” of the CLARITY Act, a bill on the structure of the crypto market. The bill has stalled in the Senate amid disagreements over DeFi, cryptocurrency company regulations and ethical restrictions on politicians.

The HYPE token rose by 23% following US President Donald Trump’s statement regarding Hyperliquid. Trump stated that Michael Selig, Chair of the US Commodity Futures Trading Commission (CFTC), is working to launch Hyperliquid in the US “in full compliance with the law”.

According to Artemis Analytics, the restriction on USDT access on European crypto exchanges has not yet led to a significant global outflow from the largest stablecoin. USDT has retained its lead in terms of market capitalisation, although European platforms have switched to USDC.

The FxPro Analyst Team